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DOL Issues Model Notices and New FAQs Related to COBRA Premium Subsidy
March 19, 2009The American Recovery and Reinvestment Act of 2009, enacted on February 17, 2009, provides a federal subsidy for COBRA premiums for certain employees and covered family members who lost or will lose coverage due to involuntary termination of employment from September 1, 2008 through December 31, 2009. ARRA requires that group health plans provide certain notices to plan participants who may be eligible for this COBRA subsidy.
Today, the DOL issued four model notices that group health plans and employers can use to comply with ARRA's notice requirements. The attached memorandum summarizes these notices.
In addition, the DOL released updated and new Frequently Asked Questions related to the COBRA subsidy.